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Keywords Studios acquires Indigo Pearl and Jinglebell

Deferred consideration of up to £0.4m in cash will be paid to the seller three years from completion subject to certain conditions being met.

We look forward to working with the highly experienced and creative teams at Jinglebell and Indigo Pearl, supporting their growth and building further on our reputation as the leading provider of highly specialised video games services around the world.

Andrew Day, CEO of Keywords Studios

Keywords Studios, the international technical and creative services provider to the global video games industry, announces the acquisitions of Indigo Pearl Limited (“Indigo Pearl”) and Jinglebell Communications S.R.L. (“Jinglebell”). The acquisitions will further the Group’s strategy to become the ‘go to’ technical and creative services platform for the global video games industry.

Led by Caroline Miller and founded in 2000, Indigo Pearl is a full service PR agency specialising in the video game sector. Based in London, Indigo Pearl’s 10 person team covers traditional as well as social media and influencer driven campaigns. The company also provides technology enabled asset management solutions through its PXN and DXN digital platforms to ensure fully audited access to its clients’ marketing and PR materials for consumer and trade press and influencer based communications. Indigo Pearl’s clients include Epic Games, Google Stadia, Devolver Digital, Sony PlayStation, Ubisoft Entertainment and Niantic Inc.

For calendar year 2020, Indigo Pearl is expecting to generate revenue of £1.8m and adjusted EBITDA of £280k. Under the terms of the acquisition, Keywords Studios will pay initial consideration of £1.1m in cash and the equivalent of £0.5m in new ordinary shares on the first anniversary of completion, which will then be subject to orderly market provisions for a further year. Deferred consideration of up to £0.4m in cash will be paid to the seller three years from completion subject to certain conditions being met.

Founded in 1981 by Carlo Forester and based in Milan, Italy, Jinglebell is a boutique recording studio that provides audio recording, music production and sound design for video games and advertisements. Jinglebell’s talented and passionate team of 18 staff delivers thousands of audio files every year for leading game publishers such as Activision, Electronic Arts, Sega, Square Enix, as well as major companies such as Barilla, L’Oreal, Vodafone and Nestlé.

Jinglebell is expected to produce revenue of €2.1m and EBITDA of €0.1m for the year ending 31 December 2020 and under the terms of the acquisition Keywords Studios is paying cash consideration of €1.5m and the equivalent of €0.3m in new ordinary shares on the first anniversary of completion, which will then be subject to orderly market provisions for a further year.

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